Pondering Gold

Kidchameleon

Hi All,

One to ponder:

Imagine one day it was discovered that somwhere in the upper mantle of the earth (a place where the average Joe can dig to if necessary) there was a layer of gold which we never knew about. Suddenly the rich and poor would become 'equal'. Poverty would end? Hunger? War? How would the balance of the world change, for better or worse?

Regards.

Andy.

Red Hand

It wouldn't end poverty. If gold was as common as iron, then it would trade on prices appropriate to it's value. In fact, if gold was as common as iron or aluminium, it might be cheaper than either of those metals. Why? Because iron and aluminium are useful in construction and so many other areas. If gold were so common, it's only value would be as a heat exchanger.

Some other substance would become a standard against which money is measured...and again, it would be because of it's rarity value. Uranium 235? Helium 3?

nyarlothothep

What if people had replicators and every material need was fulfilled?

Joycey

nyarlothothep wrote: »

What if people had replicators and every material need was fulfilled?

Thats an interesting idea. My first response was to think that this could never come about because it would be in the interests of the people at the top of our current power structure to make sure this never happened. Then I realised that to argue for this I would have to accept that there was more then just the attraction of material wealth which those who control our current society want.

Some kind of twisted drive to have power over others which has arisen from the vastly unequal balance of power in favour of those at the top is what would prevent a utopian society from existing even were we to develop technology that could fulfill all our material needs.

Also would you classify a need for love and attention, education etc as material needs? Maybe more spiritual. As far as I can see theres no reason why we cant live in a society right now which fulfills these basic needs. All that needs to happen is a reordering of the current vastly unequal power balance in society. From having all the power to influence everyone in society concentrated in the hands of 10 or 20% of the population, to everyone having a say in everything to the extent that it effects them. There are easily enough resources in the world (given they are used sustainably and not squandered the way we are currently doing) to feed, clothe, support etc the population of the world.

davej

Kidchameleon wrote: »

Hi All,

One to ponder:

Imagine one day it was discovered that somwhere in the upper mantle of the earth (a place where the average Joe can dig to if necessary) there was a layer of gold which we never knew about. Suddenly the rich and poor would become 'equal'. Poverty would end? Hunger? War? How would the balance of the world change, for better or worse?

Regards.

Andy.

Why do you think gold is worth what it is worth? Because it is shiny ?

You need to read up on the law of supply and demand.

Gold is considered to be valuable for 2 main reasons:

1: It is virtually* impossible to make new gold.
2: It is relatively rare.

If either of these two facts are taken away, it would be far less valuable.


*It is theoretically possible - but not without expending a relatively large amount of energy - more energy than the gold could ever possibly be worth.

silverharp

OP , the main logical flaw in your question is that you assume somehow people are poor because there is a lack of money in the system. The main function of money is to make trade of resources/work easier.

nobodythere

Kidchameleon wrote: »

Hi All,

One to ponder:

Imagine one day it was discovered that somwhere in the upper mantle of the earth (a place where the average Joe can dig to if necessary) there was a layer of gold which we never knew about. Suddenly the rich and poor would become 'equal'. Poverty would end? Hunger? War? How would the balance of the world change, for better or worse?

Regards.

Andy.

Ahhhh... gold isn't very.... useful.

994

grasshopa wrote: »

Ahhhh... gold isn't very.... useful.

It has a lot of uses in electronics actually, due to being corrosion-resistant and conductive. But if your goldmine was discovered, it would ruin markets and cause more poverty.